A 26.4 per cent increase in third quarter net revenues at footwear firm Deckers Outdoor Corporation was largely fueled by significant growth in its Teva and Ugg brands the company said on Thursday.

For the third quarter ended 30 September 2002, net sales increased were $17.7 million compared to $14.0 million in the same period last year. Excluding litigation costs the pro forma net loss for the current quarter was $430,000 compared to a pro forma net loss of $822,000 in the third quarter of 2001. Including the costs of this litigation, the net loss was $2.54 million versus a net loss of $2.09 million.

Net sales of Teva products increased to $5.7 million from $4.5 million in the same period last year. Net sales of Ugg grew to $9.8 million from $6.7 million last year. Net sales of the Simple brand were $2.2 million versus $2.8 million in the same period last year.

The company said it expects to see fourth quarter sales of between $22 million and $23 million and diluted earnings per share to range from $0.06 to $0.07. For the fiscal year ending 31 December 2002, sales are likely to range between $95 million and $96 million and earnings before cumulative effect of accounting change to range from $0.09 to $0.10.

Deckers anticipates its fiscal 2003 sales will be in the range of $100 million to $105 million and, as a result of the recently announced Teva acquisition, is increasing its guidance for diluted earnings per share to a range of $0.38 to $0.43.